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1 © 2005 Cisco Systems, Inc. All rights reserved. CISCO SOLUTION INCENTIVE PROGRAM (SIP) Program Overview Aug 2005.

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Presentation on theme: "1 © 2005 Cisco Systems, Inc. All rights reserved. CISCO SOLUTION INCENTIVE PROGRAM (SIP) Program Overview Aug 2005."— Presentation transcript:

1 1 © 2005 Cisco Systems, Inc. All rights reserved. CISCO SOLUTION INCENTIVE PROGRAM (SIP) Program Overview Aug 2005

2 222 © 2005 Cisco Systems, Inc. All rights reserved. Agenda Cisco Channel Strategy What is the Solution Incentive Program? Program Framework Expectations of the Partner Financial Impact to Partner How to Get Started How to Learn More

3 333 © 2005 Cisco Systems, Inc. All rights reserved. WW Channel Strategy VALUE-ADD CAPABILITY Individual Products Technology Specialized Integrated Technologies Business Solutions PARTNER PROFITABILITY

4 444 © 2005 Cisco Systems, Inc. All rights reserved. WW Channel Strategy VALUE-ADD CAPABILITY Individual Products Technology Specialized Integrated Technologies Business Solutions PARTNER PROFITABILITY

5 555 © 2005 Cisco Systems, Inc. All rights reserved. WW Channel Strategy VALUE-ADD CAPABILITY Individual Products Technology Specialized Integrated Technologies Business Solutions PARTNER PROFITABILITY

6 666 © 2005 Cisco Systems, Inc. All rights reserved. Why Drive Solution Sales? Solutions Business- Centric Fulfillment Price and Delivery-Centric Integration Project Manager Products and Technology CEO Vertical Solutions CEO / CIO Horizontal Solutions Department Head Enterprise Architecture Technology- Centric VALUE-ADD AND BUSINESS RELEVANCE Provides business relevance to the network Creates budget rather than absorbing it Targets business decision makers who typically control the networking budget Grants partners access to critical vertical and horizontal market opportunities

7 777 © 2005 Cisco Systems, Inc. All rights reserved. Incentive Programs BUSINESS SOLUTIONS INCREMENTAL OPPORTUNITIES ADVANCED TECHNOLOGY Rewards Value Incentive Program (VIP) Opportunity Incentive Program (OIP) Solution Incentive Program (SIP)

8 888 © 2005 Cisco Systems, Inc. All rights reserved. Solution Incentive Program Rewards partners that integrate Cisco into their differentiated business solutions Differentiates partner unique value Increases customer intimacy and satisfaction Grows partner revenue with value-added services Drives partner profitability Partners must pre-qualify their solutions prior to receiving the program benefits The program offers eligible partners financial incentives and better engagement opportunities with Cisco sales teams

9 999 © 2005 Cisco Systems, Inc. All rights reserved. What Is a Solution Under SIP ? Solution = Partner Integration Skills (Lifecycle Solution Services) + 3 rd Party Business Application + Cisco Technology Differentiated and Repeatable

10 10 © 2005 Cisco Systems, Inc. All rights reserved. SIP framework TechnologyApplicationsServicesPilot Solutions + + Reference architecture Point products 3 rd Party application Maintenance Services Consulting Services Non Eligible SIP Eligible Cisco applications Prof. Services = Network Integration 3 rd Party hardware Converged network Solutions Integration A network comprising only these elements below the line is not eligible for SIP reward A network comprising these elements above the line is eligible for the SIP reward

11 11 © 2005 Cisco Systems, Inc. All rights reserved. Cisco Business Solution Positioning Vertical Market Requirement Prepare, Plan, Design, Implement, Operate & Optimize (PPDIO) Customer Advocacy Ciscos Architecture WirelessSecurity SAN / OpticRoutersIPCommsSwitches AdvancedTechnologiesAdvancedTechnologiesFoundation Technologies Technologies End Users Cisco Certified Partner ISVs / Ecosystem Partners Cisco Cisco Capital Business Solution Vertical Market 3 rd Party Vendors Reference Architecture

12 12 © 2005 Cisco Systems, Inc. All rights reserved. SIP Objectives Grow incremental revenue in critical markets Boost partner profitability for resellers integrating Cisco into the solution sale Increase the business relevance of the network Expand the usage/need for network bandwidth Support the channel partner value model

13 13 © 2005 Cisco Systems, Inc. All rights reserved. SIP Benefits To Partner To Customer To Cisco Creates greater intimacy and understanding of business imperatives Adds business value to the network Improves customer satisfaction Increases business relevance of networking Creates budget for networks Improves partner profitability Encourages channel focus on value-add Rewards solution investment Provides differentiation Improves profitability Increases value-add opportunities

14 14 © 2005 Cisco Systems, Inc. All rights reserved. PROGRAM FRAMEWORK

15 15 © 2005 Cisco Systems, Inc. All rights reserved. Program Workflow Pre-qualification (one time per solution) Deal Registration (one per deal) Evaluation (annual review) 1 2 3

16 16 © 2005 Cisco Systems, Inc. All rights reserved. Program Workflow Pre-qualification (one time per solution) Deal Registration (one per deal) Evaluation (annual review) Partner submits Solution Business Plan Program Council validates solution Business Plan Pre-Qualified Partner (evaluated annually) approve deny REJECT Channel (CAM) review solution Business Plan

17 17 © 2005 Cisco Systems, Inc. All rights reserved. Program Workflow Pre-qualified? Field (CAM/AM) validate registration Program Mgr validates registration approve deny REJECT Deal Protection (review at 6 months) approve deny REJECT no REJECT yes Pre-qualification (one time per solution) Deal Registration (one per deal) Evaluation (annual review) Partner submits Solution Business Plan Program Council validates solution Business Plan Pre-Qualified Partner (evaluated annually) approve deny REJECT Channel (CAM) review solution Business Plan

18 18 © 2005 Cisco Systems, Inc. All rights reserved. Program Workflow Pre-qualified? Field (CAM/AM) validate registration Program Mgr validates registration approve deny REJECT Deal Protection (review at 6 months) approve deny REJECT no REJECT yes no REMOVE Met min. revenue: SMB - $200K Enterprise - $1M Met at least 70% of forecast? yes REMOVE RENEW no yes Partners removed from program may not reapply for six months. Pre-qualification (one time per solution) Deal Registration (one per deal) Evaluation (annual review) Partner submits Solution Business Plan Program Council validates solution Business Plan Pre-Qualified Partner (evaluated annually) approve deny REJECT Channel (CAM) review solution Business Plan

19 19 © 2005 Cisco Systems, Inc. All rights reserved. SIP Prequalification: Partner Pre-requisites Cisco Certified Partner (Gold, Silver, Premier) Specialized in appropriate technology identified as part of the solution definition Has existing installed base of customers in target market Documented Business Plan for driving solution Selling model targets Business Decision Maker Sales team is solution focused Provides unique solution competency

20 20 © 2005 Cisco Systems, Inc. All rights reserved. SIP Prequalification: Solution Criteria Repeatable Includes Business Relevant Application Includes Solution Support Services Includes Cisco Technology (recommend AT) Expands need for network bandwidth Reference Architecture includes Cisco Cisco product and services is no more than 70% of solution opportunity Two reference accounts that have installed solution within past 12 months Minimum revenue per year (list to Cisco): $200K in SMB or $1M in ENT Minimum deal registration transaction size (list to Cisco): $20K in SMB and $100K in ENT

21 21 © 2005 Cisco Systems, Inc. All rights reserved. SIP Deal Registration: Requirements Partner solution prequalified for the SIP Registration must be for partner-approved solutions only Partner must be a Cisco Gold, Silver, or Premier Certified Partner Incremental business generated by partner Minimum deal size for Cisco products and services: SMB/Commercial $20K at list price Enterprise $100,000 at list price Partner completes and documents presales milestones: Identify primary decision makers, budget, and timing of opportunity Determine end-customer business issues and requirements Perform end-customer phone and face-to-face sales calls Provide high-level design to customer Registration must be prior to an end customer RFP to be eligible NOTE: Partners CANNOT stack OIP and SIP SIP discount accounts for partner hunting efforts All deal registration based programs protect the first partner to register the deal and complete the pre-sales milestones. If the deal is first registered and approved under SIP, it is not eligible for OIP. If the deal is first registered and approved under OIP, it is not eligible for SIP.

22 22 © 2005 Cisco Systems, Inc. All rights reserved. Solutions Example Vertical MarketApplicationsCisco Technologies HealthCare Nurse Call Patient Monitoring Location based services Collaborative Care PACS (E-Radiology) FT Upgrades WLAN + WCS Security IP Communications/Unified Communications IP Wireless Phones Call Manager MeetingPlace / VT Advantage Connected Real Estate Building Automation IP based Physical security ( access control, video surveillance, fire ) Converge applications that drive collaboration and increase productivity increase in workplace WLAN Security IP Communications/Unified Communications Retail Customer Relationship Management Billing POS Warehouse Management System WLAN IP Communications/Unified Communications Manufacturing Supply Chain Management Xtended Markup Language Warehouse Management System WLAN IP Communications/Unified Communications Transportation Warehouse Management System Supply Chain Management WLAN IP Communications/Unified Communications Logistic/Warehousing Warehouse Management System Employee Resource Planning Supply Chain Management WLAN IP Communications/Unified Communications Security

23 23 © 2005 Cisco Systems, Inc. All rights reserved. APAC SIP Model Run pilot program for 6 month period, effective Q1 FY06 Target countries to include: Australia New Zealand China Korea Taiwan SIP rebate of 4% list, SIP stackable only with VIP* SIP is a backend rebate program SIP applicable to all products and must include AT Mandatory maintenance attachment on all products for 1 year minimum (Cisco Shared Support Program or branded resale) *based on current VIP% program rules India Singapore

24 24 © 2005 Cisco Systems, Inc. All rights reserved. Expectations of the Partner: Registration Solution Pre-qualification Deliverables Business Plan Reference Architecture Installed Base Deal Registration Deliverables Customer name & contact info for opportunity Opportunity description Cisco products included Estimated budget & decision date Sales Visit Report High Level Design

25 25 © 2005 Cisco Systems, Inc. All rights reserved. How Do Partners Get Started Visit Review online program documents (presentation, program rules, Q&A) and download business plan Partners send completed business plan to their CAM and the SIP alias: Each partner solution requires a business Partners will receive notification within 10 business days via .

26 26 © 2005 Cisco Systems, Inc. All rights reserved. How to Learn More SIP Website: Presentation Q&A Program Rules User Guide Business Plan Template Program alias for submitting solution business plan and general questions: Submit presales milestone documents to: Deal Registration Approval Tool:

27 27 © 2004 Cisco Systems, Inc. All rights reserved. Presentation_ID


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